Reverse title?

The Reserve Bank of India’s attempts to ease the liquidity situation in the money market saw banks trading Rs 8,350 crore worth of government bonds on Thursday in open market operations (OMOs). The OMOs were conducted for bonds worth Rs 12,000 crore. However, with the cut-off price coming in lower than estimated only about 70% of the bonds on offer were traded. Meanwhile, the money market remained fairly tight with the overnight call rate nudging 7% and the yield on the ten-year benchmark inching up to 7.98% from Wednesday’s closing of 7.95%. After the announcement of the OMOs on Tuesday, the yield on the ten-year benchmark had fallen by almost 15 basis points to 7.96%. (Source RBI eases liquidity, Rs 8.3k-cr bonds sold in open market.)

There is something I do not understand here. Falling yield means excess liquidity. And selling bonds means sucking liquidity. But title of news is just reverse. See the next post where the buying of debt by USA’s Fed is treated as releasing liquidity.